Ministry of Petroleum & Natural Gas
Petroleum Minister flags off 1st supply of Used Cooking Oil-based Biodiesel from Indian Oil’s Tikrikalan Terminal;
Shri Pradhan describes it as a landmark in India’s pursuance of Biofuels which will have a positive impact on the environment
Minister of Petroleum & Natural Gas and Steel, Shri Dharmendra Pradhan today remotely flagged off the first supply of UCO  based Biodiesel blended Diesel under the EOI Scheme from IndianOil’s Tikrikalan Terminal, Delhi. Secretary, Ministry of Petroleum & Natural Gas Shri Tarun Kapoor and Chairman, IndianOil Shri S M Vaidya were also present on the occasion.
To create an eco-system for collection and conversion of UCO into Biodiesel and developing entrepreneurship opportunities, Minister of Petroleum and Natural Gas & Steel, along with Minister of Health & Family Welfare, Science & Technology and Earth Sciences, had initiated Expressions of Interest for “Procurement of Bio-diesel produced from Used Cooking Oil” on the occasion of World Biofuel Day on 10th August 2019. Such “Expressions of Interest” are being periodically released by Oil Marketing Companies . In the first phase, 11 EoIs were floated between 10.08.2019 to 09.11.2020 for 200 locations. Publication of EoIs has been extended for one more year up to 31.12.2021, for 300 locations across the country.
Under this initiative, OMCs offer periodically incremental price guarantees for five years and extend off-take guarantees for ten years to prospective entrepreneurs. So far, IndianOil has also issued 23 LOIs for Biodiesel plants with a total capacity of 22.95 Cr Litres . Under this initiative, IndianOil has received 51KL of UCO-Biodiesel at its Tikrikalan terminal in Delhi as of 31.3.2021.
Speaking on the occasion, Shri Dharmendra Pradhan complimented the Oil industry on the stellar role played by them in keeping the fuel lines running despite the stiff challenges of the pandemic. He also lauded the OMCs for going beyond the usual business imperatives by extending support for medical oxygen supply to the nation in this crisis. Mr Pradhan also appreciated IndianOil’s leadership role in smoothening the Liquid oxygen logistics in the country through various initiatives.
Regarding the first supply of UCO-based Biodiesel from IndianOil’s Tikrikalan Terminal, Mr Pradhan said, “This is a landmark in India’s pursuance of Biofuels and will have a positive impact on the environment. This initiative will garner substantial economic benefits for the nation by shoring up indigenous Biodiesel supply, reducing import dependence, and generating rural employment”. He appreciated the proactive role played by OMCs in this direction and shared that 30 LOIs have already been issued.
Secretary, Ministry of Petroleum & Natural Gas, Shri Tarun Kapoor said, “With this flag off, a new era of Bioenergy has been ushered in that will revolutionize the Indian petroleum sector. Feedstock availability in Biodiesel is a challenge, and leveraging UCO can be a major breakthrough that will enable us to reach the target of 5% Biodiesel blending. It will also help divert the unhealthy used oil from the food chain to a more productive purpose”.
Chairman IndianOil Shri S M Vaidya said, “IndianOil is committed to contributing to this remarkable drive to retrieve the unhealthy Used Cooking Oil and usher in a revolution through “Randhan se Indhan”. We aspire to trace even the last drop of UCO and ensure its conversion to Biodiesel, thereby contributing to a more energy secure, greener and healthier India. This event is yet another significant step towards a Swachh and Aatmanirbhar Bharat”. He also shared that IndianOil has started constructing eight Biodiesels plants across Uttar Pradesh, Gujarat, and Madhya Pradesh.
Biodiesel is an alternative fuel, similar to conventional or ‘fossil’ diesel. It can be produced from vegetable oils, animal fats, tallow and waste cooking oil. A significant advantage of Biodiesel is its carbon-neutrality, i.e. the oilseed absorbs the same amount of CO2 as is released when the fuel is combusted in a vehicle. Also, Biodiesel is rapidly biodegradable and completely non-toxic.